True to its statement earlier this year that it would raise its investments in growth market Turkey (see Plasteurope.com of 03.03.2014), Belgian plastics profile manufacturer Deceuninck (Hooglede-Gits; www.deceuninck.com) in late August paid about EUR 20m for an 81.23% stake in Turkish PVC windows systems producer Pimas (Gebze; www.pimas.com.tr).

With sales of EUR 60m and a net loss of EUR 824,000 in 2013, Pimas employs 484 people and operates production sites at group headquarters near Istanbul and in 2007 established another plant in Rostov-on-Don / Russia. Pimas purports to be the pioneer of PVC windows in Turkey, having first entered the market in 1982. Its products are distributed through a network of about 1,200 sales agents in Turkey, located mostly in the Istanbul and Ankara areas.

Specialised in compounding, extrusion and foiling, Pimas’ portfolio includes PVC window and door systems (sold under the “Pimapen”, “Maestro”, “DWT” and “Enwin” brand names), insulated vinyl siding systems (“Pimas Siding”), a foldable glass balcony system (“Pimas Camoda”) and wood composite decking (“Pimawood”).

Deceuninck acquired the majority control from construction holding Enka (Istanbul / Turkey; www.enka.com). The remaining shares are held by a range of minority shareholders or are on free float. The purchase still has to meet the approval of both the Turkish and the Russian competition authorities. Once the deal closes, Turkish law requires that Deceuninck launch a mandatory public offer.

When approved, the acquisition will make Deceuninck the market leader in Turkey – Europe’s second largest PVC window market – while also strengthening its existing position in Russia, Europe’s leading PVC window market, the Belgian company said.

Commenting on the purchase, Deceuninck CEO Tom Debusschere said his company had seen steady growth in sales and profits since first entering the Turkish market 14 years ago (see Plasteurope.com of 31.01.2000). “The acquisition of Pimas, with its pioneer brand 'Pimapen', the most recognised name for windows in Turkey, presents a great opportunity. As a result, Deceuninck will move to the number one position in Europe's second largest PVC window market, which is estimated at 325,000 t/y,” he added.

The acquisition also complements Deceuninck’s activities in Russia, Europe’s largest PVC window market, which Debusschere estimates at 370,000 t/y. The Belgian group first entered this particular market in 2005 (see Plasteurope.com of 08.09.2005), and has since grown its sales level and expanded its market share here, too.

Deceuninck operates 12 production facilities in Belgium, the Czech Republic, France, Germany, Poland, Russia, Thailand, Turkey, the UK and the US. The group’s 2,700 employees, spread across 25 countries, posted sales of EUR 537m in 2013.